delta's motion to the dot to revoke the award of the los angeles-tokyo haneda route to american...

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BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C. Application of AMERICAN AIRLINES, INC. In the matter of 2010 U.S.-Haneda Combination Services Allocation Proceeding ) ) ) ) ) ) ) ) Docket DOT-OST-2010-0018 MOTION OF DELTA AIR LINES, INC. TO REVOKE BACKUP AWARD Communications with respect to this document should be addressed to: Glen Hauenstein Executive Vice President & Chief Revenue Officer Robert J. Cortelyou Senior Vice President – Network Planning DELTA AIR LINES, INC. 1030 Delta Boulevard Atlanta, Georgia 30320 Alexander Van der Bellen Managing Director and Associate General Counsel – Regulatory and International Affairs Christopher Walker Regional Director – Regulatory and International Affairs DELTA AIR LINES, INC. 1212 New York Avenue, N.W. Washington, D.C. 20005 (202) 842-4184 [email protected] [email protected] October 1, 2015

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Page 1: Delta's motion to the DOT to revoke the award of the Los Angeles-Tokyo Haneda route to American Airlines 10-1-2015

BEFORE THE DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

Application of AMERICAN AIRLINES, INC. In the matter of 2010 U.S.-Haneda Combination Services Allocation Proceeding

) ) ) ) ) ) ) )

Docket DOT-OST-2010-0018

MOTION OF DELTA AIR LINES, INC. TO REVOKE BACKUP AWARD

Communications with respect to this document should be addressed to: Glen Hauenstein Executive Vice President & Chief Revenue Officer Robert J. Cortelyou Senior Vice President – Network Planning DELTA AIR LINES, INC. 1030 Delta Boulevard Atlanta, Georgia 30320

Alexander Van der Bellen Managing Director and Associate General

Counsel – Regulatory and International Affairs Christopher Walker Regional Director – Regulatory and International

Affairs DELTA AIR LINES, INC. 1212 New York Avenue, N.W. Washington, D.C. 20005 (202) 842-4184 [email protected] [email protected]

October 1, 2015

Page 2: Delta's motion to the DOT to revoke the award of the Los Angeles-Tokyo Haneda route to American Airlines 10-1-2015

BEFORE THE DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C. Application of AMERICAN AIRLINES, INC. In the matter of 2010 U.S.-Haneda Combination Services Allocation Proceeding

) ) ) ) ) ) ) )

Docket DOT-OST-2010-0018

MOTION OF DELTA AIR LINES, INC. TO REVOKE BACKUP AWARD

Delta Air Lines Inc. (“Delta”) hereby Moves the Department to revoke the backup

authority granted to American Airlines Inc. (“American”) by Order 2015-6-14 to provide Los

Angeles-Haneda service. American promised to inaugurate Los Angeles-Haneda service

within 60 days of receiving backup authority. Yet, despite being on notice since June 17, 2015

that the slots at issue would be available on October 1, American has failed to file any

schedules or make available for sale any Los Angeles-Haneda flights. American apparently

has no intention of inaugurating the service as promised. Accordingly, the slots should be

removed from American, returned to the unallocated pool, and made available to other

interested carriers.

When the Department awarded American backup authority it said: “American has stated

that it supports the Department’s backup selection, and stands ready to meet the Department’s

accelerated 60-day startup condition. . . . American states that it would be prepared to

implement daily Los-Angeles Haneda service promptly, within 60 days of its backup award

being activated, a factor that takes on additional weight in the context of awarding backup

authority.” Order 2015-6-14 at 15 (emphasis added). Moreover, after receiving notification

Page 3: Delta's motion to the DOT to revoke the award of the Los Angeles-Tokyo Haneda route to American Airlines 10-1-2015

Delta Motion Page 2

that the slots would be available on October 1, American again reconfirmed by letter to the

Department dated June 19, 2015 that “American will meet the 60-day startup condition set by

the Department in the Final Order. We will provide additional details of the Los Angeles-Haneda

service to the Department in the coming weeks.” See Attachment 1.

The following screen shot illustrates conclusively that American is not publishing

schedules or holding out Los Angeles-Haneda service:

These actions are not consistent with a carrier that intends to launch a new long-haul service

within 60 days. As such, American has violated the conditions of its backup award and should

not be allowed to retain the authority when there are other carriers willing to use it.

Delta reluctantly returned slots that it previously held for Seattle-Haneda service

because Delta could not reasonably comply with the unusually strict operating terms and

conditions imposed by Order 2015-6-14. American’s backup award, as detailed above, was

expressly conditioned on its ability to meet the Department’s accelerated 60-day startup

condition. Given the strict conditions imposed on Delta, it would be unfair, arbitrary and

capricious to allow American to violate the terms of its backup award and retain slots for Los

Angeles-Haneda service that it has no intention of operating within the next 60 days. The slots

should be immediately returned to the unallocated pool forthwith.

Page 4: Delta's motion to the DOT to revoke the award of the Los Angeles-Tokyo Haneda route to American Airlines 10-1-2015

Delta Motion Page 3

Respectfully submitted,

_________________________________ Alexander Van der Bellen Managing Director, Regulatory and International Affairs & Associate General Counsel DELTA AIR LINES, INC.

Page 5: Delta's motion to the DOT to revoke the award of the Los Angeles-Tokyo Haneda route to American Airlines 10-1-2015

Howard E. Kass Vice President Regulatory Affairs

June 19, 2015

Mr. Paul Gretch

Director, Office of International Aviation

U.S. Department of Transportation

1200 New Jersey Avenue, SE

Washington, DC 20590

Re: U.S.-Haneda Final Order 2015-6-14

Docket DOT-OST-2010-0018

Dear Mr. Gretch:

On June 17, Delta informed the Department that it will return the Seattle-Haneda

slot pair to the Department effective October 1, 2015. Pursuant to the backup authority

awarded to American in Order 2015-6-14, American hereby accepts the returned slot pair

and will inaugurate Los Angeles-Haneda service.

American will meet the 60-day startup condition set by the Department in the Final

Order. We will provide additional details of the Los Angeles-Haneda service to the

Department in the coming weeks.

Sincerely,

Howard Kass

Cc: Service list